Debts, Disasters, and Delinquencies: A Case for Placing a Mandatory Force Majuere Provision into Consumer Credit Agreements

Authors

Norman I. Silber, Maurice A. Deane School of Law at Hofstra UniversityFollow

Document Type

Article

Publication Title

New York University Review of Law and Social Change

Publication Date

2010

Abstract

This article addresses inequities in the apportionment of losses which arise when traditional consumer finance rules are applied to enforce consumer payment obligations which accrue during and after catastrophes. Disasters lead inevitably to job losses, to property destruction, and to inhibited access to homes and workplaces. In the wake of devastation, consumer fees and interest charges mount, and payment defaults increase. It is argued here that the resulting individual hardships and social distress could be mitigated by mandating the inclusion of force majeure provisions in consumer finance agreements and by creating a national consumer credit insurance fund.

Recommended Citation

Norman I. Silber, Debts, Disasters, and Delinquencies: A Case for Placing a Mandatory Force Majuere Provision into Consumer Credit Agreements, 34 N.Y.U. Rev. L. & Soc. Change 760 (2010)
Available at: https://scholarlycommons.law.hofstra.edu/faculty_scholarship/510